Managing your rental
The steps before you rent out a home in Ontario for the first time: rules, insurance, rent, deposits, screening, the lease, notices and tax, with a guide for each.
By the Tenant.ca teamUpdated 3 min read
If it is a condo, read the declaration, by-laws and rules for anything about leasing or short-term stays. Then check your city: some Ontario municipalities license rentals or require registration, and the rules vary by ward in some places.
Tell your insurer the home will be rented before the tenant moves in: a policy written for a home you live in may not fit one you rent out. If you have a mortgage, check whether it allows renting.
Work out what the rental clears each month after costs and the mortgage, then set an asking rent from comparable rentals, not from what you need it to earn. Once a unit is rented, how often and how much the rent can rise is set by Ontario's rules.
Damage and pet deposits are not allowed in Ontario. The deposits you can ask for are a rent deposit, used for the last month's rent, and a refundable key deposit.
Ask every applicant for the same information, get written consent before a credit check, and keep your decisions to what the rent and the tenancy need.
Most residential tenancies need Ontario's standard lease, signed by the day the tenant can move in. Extra terms that take away a right under the Act are void.
Before anything goes wrong, know which repairs are yours, how much notice you owe before entering, and what the steps are if rent is late.
Rental income goes on your tax return, and most running costs are deductible if you can show them. Start a folder on day one.
You can do all of this yourself, get help only when the unit is vacant, or have a property manager run the tenancy while you stay the landlord. Which suits you depends on where you live and how much of your time you want it to take.
This page is general information, not legal advice. It reflects the Act and the province's pages as read on November 4, 2026. For advice on your own situation, speak with a lawyer or paralegal.
